Govt provides Rs30 bln relief by keeping POL prices unchanged
Prime Minister Imran Khan has deferred the proposal by OGRA to increase up to Rs16.79 per litre in petroleum product prices.
ISLAMABAD: Despite revenue losses due to rising petroleum prices globally, Prime Minister Imran Khan has deferred the proposal by OGRA to increase up to Rs16.79 per litre in petroleum product prices.
The petroleum products are showing a substantial increase in the international market and presently trading at the highest level since 2014.
The oil prices have witnessed an increase of 14.5% just in last month in the global market. The existing Sales Tax rate and Petroleum Levy on various petroleum products are much below the budgeted targets.
The federal government is bearing the revenue loss of around Rs30 billion (fortnightly) on account of budgeted to existing PL and ST rates and Rs260 billion annually due to reduced ST rate.
PM Imran Khan desired that petroleum product prices shall remain the same from February 1 as notified earlier on January 15 for providing maximum relief to the general public. The premier has further desired to keep the prices at the same level through adjustments in Sales Tax if required.
Following the premier’s direction, the petrol price remained unchanged at Rs147.83, diesel at Rs144.62 per litre, kerosene at Rs116.48 per litre and light diesel price to be stabled at Rs114.54 per litre.
